CONSUMER
PROTECTION
ACT 2019
By : P. Ram Prasad
A .Vijay Sai
INTRODUCTION
Consumer protection is the practice of safeguarding buyers of goods and services, and the public, against unfair
practices in the market place . Consumer protection measures are often established by law. Such laws are intended
to prevent businesses from engaging in fraud or specified unfair practices in order to gain an advantage over
competitors or to mislead consumers. They may also provide additional protection for the general public which may
be impacted by a product (or its production) even when they are not the direct purchaser or consumer of that
product. Background
MEANING
Consumer protection act refers to protecting the interest of consumer.
A consumer is said to be a king in a free market economy . The earlier
approach of Caveat Emptor which means Let the buyer beware , has
now been changed to Caveat Venditor which means Let the seller beware .
FEATURES
i)This act provides various Right and Responsibilities
to consumer
ii)It provides safeguard to customer against
defective goods, deficient, service, unfair trade
practice, etc.
iii)The act has provided three tier redressal agencies
where customer can file complaints. (i) District
forum, (ii) State commission, (iii) National
Commission
CPA 2019
1.Digital Process
2.Cover E- commerce
3. Mediation
4. More Strict Rules
5.Covers- Product Manufacturer
service provider, Dealer & Product
seller
6. Place of seller is irrelevant
7. Celebrities/ Endorsement liabilities
8. CCPA- (Regulator) Central
Consumer Protection Authority
IMPORTANCE
(CONSUMER POINT OF VIEW)
(i) Unorganised Consumers: (ii) Widespread Exploitation of
Consumers need to be organised in the Consumers: Consumers might be
form of consumer organisations which exploited by unscrupulous,
would take care of their interests. Though, exploitative and unfair trade
in India, we do have consumer practices like defective and unsafe
organisations which are working in this products, adulteration, false and
direction, adequate protection is required misleading advertising, hoarding,
to be given to consumers till these black-marketing etc. Consumers
organisations become powerful enough need protection against such
to protect and promote the interests of malpractices of the sellers.
consumers.
(iii)Consumer Ignorance: In the light of
widespread ignorance of consumers about
their rights and reliefs available to them, it
becomesnecessary to educate them about
the same so as to achieve consumer
awareness.
IMPORTANCE
(BUSINESS POINT OF VIEW )
(i) Long-term Interest of Business: Every (iii) Moral Justification: It is the moral duty of any
businessmen should know that it is in their longterm business to take care of consumer’s interest and
interest to satisfy their customers. avoid any form of their exploitation. Thus, a business
Satisfied customers not only lead to repeat salesvbut must avoid unscrupulous, exploitative and unfair
also provide good feedback to prospective customers trade practices like defective and unsafe products,
and thus, help in increasing in the customer-base of adulteration, false and misleading advertising,
business. hoarding, black marketing etc,
(ii) Business uses Society's Resources: Business
(iv) Government Intervention: A business engaging in
organisations use resources which belong to the
any form of exploitative trade practices would invite
society. They, thus, have a responsibility to supply
government intervention or action. This can impair and
such products and render such services which are
tarnish the image of the company
in public interest
CONSUMER RIGHTS
1. Right to saftey: According to this rightthe consumers have the
right to beprotected against the marketing of goods and services
which hazardous to life and property. This right is important for
safe and secure life.This right includes long-term interest as well
as for their present requirement sometimes manufacturing
defects in pressure cooker,gas cylinder and other electrical
appliances may cause to life,health, property of consumer.
2.Right to choose
According to this right every consumer has the right to choose the goods
or services of his or her likings the producers or supplier or retailer
should not force the customer to buy particular brand only. consumer
should be free to choose the most suitable product from his point of view.
3. Right to be heard
According to this right the consumer has
the right to represent himself or to be
heard or right to show his interest. In case
a consumer has been exploited or has
any complaint against the product then he
has the right to be heard.
4. Right to seek Redressal
According to this right the consumer has the right to get
compensation or
seek Redressal against unfair trade
practices or any exploitation this right
assures justice to consumer against
exploitation.
RIGHT TO CONS
5. Right to consumer education:
According to this right it’s the right of
consumer to acquire the knowledge
and skills to be informed to customers
it is easier for literate consumer to
know their rights and take action but
this right assures that illiterate Discussion
consumer can seek information about
the existing acts and agencies are set
up for their protection.
CONSUMER
RESPONSIBILITIES
1. Consumer must exercise his right
2. Cautious consumer
3. Filing complaints for the redressal
of genine grievances
4. Consumer must be quality conciou
5. Do not be carried away by advertisement
6. Insist on cash memo.
3 TIER SYSTEM TO SOLVE
DISPUTES
District Commission :
District commission has a jurisdiction to entertain complaints where value of goods or services paid as consideration
does not exceed one crore rupees. Either on the first hearing or at any later stage, it appears to district commission
that there exists elements of settlement which may be acceptable to the parties, it may direct them to give their
consent for settlement of dispute through mediation within five days. In case the parties agree for settlement by
mediation and give written consent, the district commission refers the matter for mediation and the provisions
relating to mediation shall apply. However, in the event of failure of settlement by mediation proceeds with the
complaint. If the complaint alleges defect in goods which cannot be determined without proper analysis or test of
goods, the commission obtains the sample of goods, seal it and refer to the appropriate authority for analysis. In
case of services, the dispute is settled based on the basis of evidence brought to its notice by the complainant and
can ask for any required information document or records from the service provider for settlement. If any of the
parties are not satisfied by the order of District Commission can appeal against such order to the State Commission
on the grounds of facts or law within a period of forty five days from the date of order.
State Comission
It is established by the respective state government and ordinarily function at the state capital. State Commission
has a jurisdiction to entertain complaints where v .alue of goods and services paid as consideration exceeds one crore
but does not exceed ten crore rupees. If any of the parties are not satisfied by the order of State Commission can
appeal against such order to the National Commission within a period of thirty days of such order.
Supreme Court
The National Commission has territorial jurisdiction over the whole country. National Commission has a jurisdiction
to entertain complaints where value of goods or services paid as consideration exceeds ten crores of rupees. If any
Recommendation
of the parties are not satisfied by the order of National Commission can appeal against such order to the Supreme
Court of India within a period of thirty days of such order.
CONCLUSION
The Consumer Protection Act, 2019 is a modified piece of legislation that offers the consumers a great variety of
benefits and rights to protect them from unfair trade practices, false or misleading advertisements, etc. The Act
enables the consumers to seek alternative dispute resolution mechanisms and mediation so that the parties can opt
for speedy and effective settlement of consumer disputes. The scope of e-filing of complaints and e-consumers in
the Act portrays forward-thinking in part of the legislature. Furthermore, the Act also introduced new terms such as
product liability, unfair contracts, etc. thereby widening the scope of protection of consumer rights and enabling the
consumers to file complaints when their rights have been violated under the Act.
Thus, the inclusion of the provisions in this fills up the lacunae in the Consumer Protection Act, 1986. The enactment
of the Act was paramount and it changed the ambit of protecting the rights of consumers in the country.
1. With h the new Act all set to become the law, gone are the days, where the 'consumer was asked to
beware'.
2.A consumer is now the one who assumes to be treated like a King.
3. Hence, it is important important for consumer consumer driven businesses (such as, retail, e-commerce)
to be mindful of the changes in the legal landscape and have robust policies dealing with consumer
redressal in place.
4.Consumer driven businesses must also strive to take extra precautions against unfair trade practices and
un ethical business practices . .
THANK YOU